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(15.2)
audited statements of accounts, and other financial information. In principle, the estimates of DTs which are not internally self-governing require the approval of the Secretary of State, and, if the constitution of a Territory contains a general power of disallowance, the Secretary of State may advise The Queen to disallow the Appropriation Ordinance of that Territory (this has not been done in recent times). These estimates provide an early warning system if a Territory should start to run into deficit and thus require a grant-in-aid. (See also the Treasury Handbook "Government Accounting", in particular Section C: and Colonial Regulations Part II - Chapter VIII, in particular paras 182 and 285.)
15.2.2 The exercise of the Secretary of State's responsibilities for all but five DTs is undertaken by the joint FCO/ODM Division (the Departments which are jointly run by the FCO and the ODM). The Division is located in the FCO and has at its disposal the full resources of the ODM functional Departments and the specialist expertise of ODM advisers. Primary responsibility for all aid matters concerning the DTs rests with the geographical Departments of the joint Division but all aid funds for budgetary or development purposes will be carried on ODM votes. The oversight of the financial matters of the other five DTs (Belize, British Antarctic Territory, British Indian Ocean Territory, Falkland Islands and Gibraltar) is undertaken by both the FCO and ODM, although procedures in this chapter do not in general apply to British Antarctic Territory and British Indian Ocean Territory. The administration of aid for these five DTs is primarily an ODM responsibility while the general oversight of their finances is undertaken by the FCO geographical Department. The FCO geographical Departments are consulted by ODM on matters of policy. Departments in the joint Division should consult Finance Departments of the FCO and the ODM on financial matters. (See also para 16.3.2.) The channel through which the Government of a DT seeks and receives authority to spend funds provided by HMG is the DT geographical Department (of the ODM in the case of Belize, Gibraltar and the Falkland Islands), which is responsible for making proposals to the other Departments concerned within the FCO, and where necessary, and in consultation with them, to the Treasury. As regards the perusal of the estimates of DTs not in receipt of budgetary aid (nor otherwise subject to financial control) the DT geographical Department is responsible only for deciding whether or not any abnormality exists, eg the risk of a real deficit. If this is the case it may then be necessary to consider the imposition of control by the Secretary of State as described in para 15.3. But otherwise, the examination of the estimates should be completed as quickly as possible, and a telegram or letter sent stating that they are approved. If there are any points to which it is thought necessary to draw attention in the estimates, such as the risk of a deficit arising, they should be included in the telegram or letter. DTs with an advanced form of internal self-government (Bermuda, the delends and Belize) or with financial devolution (Hong Kong) are exempt from the requirement to submit estimates for formal approval. These Territories should, however, provide the FCO with copies of the annual estimates for information. For some other Territories with a Ministerial system in operation eg Gibraltar, the requirements of Colonial Regulations have been relaxed to some extent and regard should be paid to the existing practice in each case.
15.2.3
The Treasury presents to Parliament the estimates of all British Government Votes. It is however the Secretary of State who defends the FCO estimates in Parliament; and, under his delegation, the Minister for Overseas Development does so for Aid Votes. The PUS defends the general Estimates and expenditure under them, and the Permanent Secretary of the ODM, the Aid Votes in the Estimates and the expenditure under them, before the Expenditure Committee and the Public Accounts Committee (PAC).
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